The repurchase of credits is a banking operation by which a borrower consolidates several credits in progress at different rates, in only one at a single rate.
This financial “trick” gives subscribers the possibility of combining various credits (consumer credit, real estate, revolving, personal, etc.) into a single loan. This is to spread out the repayment tenure and reduce the amount of monthly payments with a single financial organization. This method is a good safeguard against debt and over-indebtedness.
How does credit buy-back work?
The implementation of a loan buyback requires a request from your current bank or better by approaching a specialized broker. Indeed, a broker works with several financial partners and this allows him to have a maneuver in negotiations. This translates into lower rates for example.
This request is in the form of a file. It must include all the information requested by the financial partner. These documents are necessary to constitute a complete file; such as your detailed financial situation, your personal details and any other supporting documents such as your tax declarations. Note that a complete file is processed more quickly.
Note that not all people already involved in an over-indebtedness procedure can have recourse to the repurchase of credits.
The credit institution examines your request based on your repayment capacity and your financial situation. If your file is positive for the analysis, the financial partner who has been advised to you by your credit buyback advisor sends you a proposal called: loan offer. On this offer, you are told all the details of your redemption, such as the repayment period, the rate, the amount of the monthly payments and the cost.
At this stage, you have a legal period of reflection before definitively accepting this offer by returning it signed to the banking partner.
The advantages of buying back credits
Once your offer has been validated, you will benefit from the advantages of buying back credits. A decrease in your monthly payments which will offer you a new management of your budget.
For more information, do not hesitate to make a free request online on our site. Your advisor will be happy to answer your questions and expectations, without any commitment on your part.